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in Artesia, CA
Artesia buyers have two strong financing paths — conventional mortgages and VA loans for military families. Each works differently with down payments, credit requirements, and costs.
Most borrowers qualify for conventional loans, but veterans get unmatched benefits with VA financing. Your military status and financial profile determine which option saves you more money.
Conventional loans are the standard mortgage available to any borrower meeting credit and income guidelines. You need at least 3% down, though 20% avoids mortgage insurance.
These loans work for primary homes, second homes, and investment properties. Lenders typically want 620+ credit scores and a 43% debt-to-income ratio, though we place deals outside those ranges daily.
Conventional financing adapts to your situation — put down 5% or 20%, choose a 15 or 30-year term, lock fixed or adjustable rates. That flexibility makes it the default choice for most Artesia buyers.
VA loans let eligible veterans, active military, and qualifying spouses buy homes with zero down payment. The VA guarantees part of the loan, so lenders take less risk and offer better terms.
You pay a one-time funding fee instead of monthly mortgage insurance. That fee ranges from 1.4% to 3.6% of the loan amount depending on your down payment and whether you've used the benefit before.
VA loans in Artesia have no maximum debt-to-income ratio requirement — lenders evaluate your full financial picture. We regularly close deals with 50%+ DTI when residual income supports it.
The biggest split is eligibility — VA loans require military service, while conventional loans are open to everyone. VA financing wins on down payment and monthly costs for those who qualify.
Conventional loans charge mortgage insurance below 20% down, typically $100-300 monthly on an Artesia purchase. VA loans skip that insurance but charge an upfront funding fee you can roll into the loan.
Property requirements differ too. VA appraisers check stricter safety and condition standards than conventional appraisals. That matters more on older Artesia homes needing repairs.
Choose VA if you're eligible — the zero down payment and no mortgage insurance save thousands yearly. The funding fee seems high upfront, but monthly savings make up for it within 2-3 years.
Go conventional if you don't have VA eligibility or you're buying investment property. Also consider it if the home won't pass VA's stricter appraisal requirements without expensive repairs.
Some Artesia veterans still use conventional loans when buying multi-unit properties or preserving VA benefits for a future purchase. We compare both options on every deal to find your lowest total cost.
Yes, but the condo project must be VA-approved. We check approval status before you make an offer to avoid delays.
Most VA lenders want 580-620 minimum. Conventional loans typically start at 620, though we have programs down to 580 with higher down payments.
First-time users pay 2.3% with zero down. That drops to 1.65% with 5% down, or 1.4% with 10% down.
Similar timelines — both take 25-35 days typically. VA appraisals can add 3-5 days if the appraiser requests repairs.
Veterans with service-connected disabilities are exempt. Purple Heart recipients and surviving spouses also qualify for the exemption.
VA rates run 0.25-0.50% lower than conventional on average. Rates vary by borrower profile and market conditions.